Gemini Leaving Canada: The Best Alternative for Canadian Crypto Traders

Buy crypto on Canada’s leading exchange here

Once your assets are withdrawn from Gemini, create an account with Netcoins.

1. Visit the Netcoins website and click “Sign Up.”
2. Enter your personal details and set a secure password.
3. Complete identity verification by uploading your ID.
4. Once verified, log in to your new Netcoins account.

Step 3: Complete Verification

• Netcoins requires users to verify their identity to comply with Canadian regulations.
• Upload a government-issued ID (Drivers license, health card or passport)
• The verification process typically takes a few minutes.

Step 4: Fund Your Account 

 Transfer your withdrawn assets or funds into your Netcoins wallet.

• For Cryptocurrency Transfers:
1. Select “Deposit” in Netcoins and choose the cryptocurrency.
2. Transfer from your external wallet to the generated address.
• For CAD Transfers:
1. Select “Deposit” and choose CAD as the currency.
2. Deposit via e-transfer or bank transfer.

Step 4: Start Trading on Netcoins

 With your funds in your Netcoins account, you can begin trading.

• Explore Available Cryptocurrencies: Trade in over 50 crypto assets.
• Staking and Trading Options: Grow your portfolio through staking or active trading.

Step 5: Stay Informed and Compliant

Enable two-factor authentication (2FA) and set up alerts to keep your account secure. Stay updated on Canada’s evolving regulatory landscape through Netcoins’ transparent communication.

3. Canada’s Regulatory Landscape for Crypto Exchanges

In recent years, Canada has stepped up its regulatory oversight of the cryptocurrency sector, primarily driven by the Canadian Securities Administrators (CSA). With the rise of high-profile insolvencies such as FTX, Voyager, and Quadriga, regulators have taken a more proactive approach in ensuring investor protection and market stability.

Key Regulatory Changes

In February 2023, the CSA introduced a stricter framework for crypto exchanges operating within Canada. These regulations were designed to ensure that exchanges adhere to more stringent standards regarding the custody of funds, transparency, and reporting requirements.

Among the most significant changes:

• Stablecoin Restrictions: Exchanges are prohibited from offering stablecoins (also known as Value-Referenced Crypto Assets, or VRCAs) without explicit approval from the CSA. These assets must meet certain transparency requirements regarding how they are backed. This saw the largest stablecoin in crypto Tethers (USDT) banned from being offered on regulated exchanges.
• Daily Reporting: Exchanges must submit daily financial data to the CSA to ensure they maintain adequate liquidity and solvency.
• Custodial Standards: Platforms are now required to store customer funds with qualified custodians, separating user assets from the platform’s operating funds to reduce the risk of misuse.

Impact on Global Exchanges

These new regulations have created a challenging environment for international exchanges. Platforms like Gemini, Binance, and OKX initially filed for Pre-Registration Undertakings (PRUs), a necessary step for compliance, but later chose to exit the market due to the complexity and cost of adhering to these standards.

For Canadian users, the departure of these major players has highlighted the importance of selecting exchanges that are prepared to comply with local laws and provide long-term security for their customers.

4. Canada’s Laws and Regulations on Cryptocurrency

Canada’s crypto regulations are among the most comprehensive in the world, reflecting the country’s commitment to protecting investors while fostering innovation in the financial sector. Here are some of the key aspects of the regulatory framework:

The Role of the Canadian Securities Administrators (CSA)

The CSA acts as the primary regulator for cryptocurrency exchanges in Canada. Its main objective is to ensure that all platforms operating within the country comply with securities laws. Since early 2023, the CSA has implemented a robust framework that requires crypto asset trading platforms to either become fully registered or file a PRU, which outlines their commitment to investor protection.

The CSA’s role includes:

• Registration of Crypto Trading Platforms: Exchanges must register with local regulatory bodies or file for PRUs to continue operating in the Canadian market. The PRU process allows exchanges to continue offering services while they work toward full registration.
• Ongoing Supervision: Registered platforms are subject to regular audits and must report financial data to ensure compliance with liquidity and solvency requirements.

Stablecoin Regulations

Stablecoins have been a significant focus of the CSA’s regulatory push. The regulator has stated that stablecoins, or Value-Referenced Crypto Assets (VRCAs), may be considered securities or derivatives. As such, exchanges must obtain approval to offer stablecoins to their users.

To receive approval, stablecoins must meet specific transparency requirements, including disclosure of how the asset is backed and where the underlying funds are held. This measure aims to prevent situations where stablecoins are misrepresented or fail to maintain their value.

Ban on Leverage and Margin Trading

Another key regulation is the prohibition of leveraged and margin trading on crypto exchanges. The CSA introduced this rule to protect retail investors from the high risks associated with borrowing funds to trade highly volatile assets.

Custodial Requirements

To protect investors from potential insolvencies, the CSA has introduced strict rules around the custody of crypto assets. Exchanges must store user funds with qualified custodians, ensuring a clear separation between the platform’s operating funds and customer assets. This measure helps prevent customer losses if a platform becomes insolvent.

Regular Reporting and Disclosure

Crypto exchanges operating in Canada are also required to submit daily financial reports to the CSA. These reports provide regulators with critical data about the exchange’s liquidity, solvency, and asset holdings, ensuring that platforms are operating transparently and in compliance with Canadian laws.

5. Why Regulation Matters in the Crypto Space

Regulation plays a critical role in the cryptocurrency industry, particularly in light of the numerous insolvencies and fraud cases that have occurred over the past few years. While some may view regulation as a hindrance to innovation, it is, in fact, a necessary step to ensure the long-term sustainability of the crypto market.

Investor Protection

One of the primary goals of regulation is to protect investors from fraud, insolvency, and mismanagement. The collapse of major platforms like FTX and Celsius underscored the need for stronger regulatory oversight, as many users lost their funds due to poor management or fraudulent practices.

In Canada, regulations like those introduced by the CSA ensure that platforms operate with transparency, maintain sufficient liquidity, and protect user funds through qualified custodianship. This reduces the risk of users losing their assets due to platform failures.

Trust in the Market

Regulation helps to build trust in the cryptocurrency market. By ensuring that exchanges comply with strict standards, regulators can create a safer environment for both retail and institutional investors. This, in turn, attracts more participants to the market, driving growth and innovation.

For Canadian users, the CSA’s regulations provide a layer of security, making it easier to trust exchanges that have demonstrated their commitment to compliance.

Long-Term Viability

Exchanges that comply with regulatory requirements are better positioned to thrive in the long term. By adopting best practices around transparency, custodianship, and reporting, these platforms can build a solid foundation for sustainable growth. In contrast, platforms that try to circumvent regulations often face significant challenges, including fines, bans, or market exits.

As seen with Gemini, Binance, and OKX, platforms that cannot meet Canadian regulatory standards ultimately leave the market, leaving their users in search of alternatives. This further underscores the importance of choosing a compliant platform from the start.

6. The Advantages of Choosing a Canadian-Based Crypto Exchange

With the exodus of major international exchanges, Canadian users are left with fewer options. However, this presents a unique opportunity for homegrown platforms like Netcoins to shine.

Understanding Local Laws

Canadian-based exchanges like Netcoins are inherently better equipped to navigate the complexities of local regulations. By being founded and operated in Canada, these platforms have a deeper understanding of the legal landscape and work closely with regulators to ensure full compliance.

Netcoins, for instance, has been fully registered and compliant with CSA guidelines, ensuring that it meets all necessary standards to protect its users.

Stablecoins and Investor Limits

Navigating the regulations around stablecoins and investor limits can be challenging for international platforms. However, Canadian exchanges like Netcoins are more agile in their approach, ensuring that they offer services that comply with the latest CSA requirements.

This not only provides users with peace of mind but also allows them to access a range of crypto assets, including stablecoins, within a compliant framework.

Peace of Mind

Choosing a Canadian-based exchange offers stability, especially in light of the recent exits of major international players. Users can rest assured that their funds are safe, and they won’t face unexpected disruptions due to platform closures or regulatory non-compliance.

Additionally, because Canadian exchanges are required to adhere to strict custodial standards, users can be confident that their assets are stored securely.

Localized Customer Support

Another significant advantage of choosing a Canadian-based exchange is the accessibility of customer support. With local offices and native-language support, Canadian exchanges can offer faster, more reliable assistance to their users. This is especially important in a market where timely responses to technical issues or questions can make a significant difference in user experience.

7. Introducing Netcoins: A Decade of Trust and Stability

Netcoins stands out as one of the most reliable and trusted crypto exchanges in Canada. Founded over a decade ago, the platform has remained at the forefront of innovation while maintaining a strong commitment to regulatory compliance.

Founded in Canada

Netcoins was established in Canada and has grown alongside the country’s evolving crypto landscape. Its long-standing presence in the market speaks to its commitment to Canadian users and its ability to navigate the regulatory environment.

As other platforms have struggled with compliance or chosen to exit the market, Netcoins has consistently adapted to meet the demands of the CSA’s evolving regulatory framework.

Compliance and Regulation

Netcoins has been ahead of the curve when it comes to compliance. It is registered with the Canadian Financial Intelligence Unit (FINTRAC) and fully compliant with all CSA guidelines. This means that users can trust that their funds are secure and that Netcoins operates within the bounds of Canadian law.

Key Features

In addition to its regulatory compliance, Netcoins offers a range of features that make it an attractive option for Canadian users:

• Competitive fees: Netcoins offers low fees, making it accessible to both beginners and seasoned traders.
• Support for a wide range of cryptocurrencies: Users can trade a wide variety of cryptocurrencies, including Bitcoin, Ethereum, and other popular assets. Netcoins offers 50+ cryptocurrencies ensuring any token you may want is offered.
• Personalized Service: Netcoins offers a simple user interface to make trading crypto less stressful and easy to manage. If you ever run into problems you can easily contact Netcoins and talk with someone 1 on 1 right away who will help you solve your issue.
• Canadian-friendly deposit and withdrawal methods: The platform supports e-transfers, direct bank transfers and crypto deposits, making it convenient for Canadian users to fund their accounts.

Commitment to Security

Netcoins places a high priority on the security of its users’ assets. The platform adheres to stringent custodial standards, ensuring that all customer funds are stored with qualified custodians. Additionally, Netcoins submits daily financial reports to the CSA, ensuring full transparency and compliance.

8. Netcoins as an Alternative for Canadian Users

With the recent departure of international exchanges from the Canadian market, Netcoins has emerged as a stable and compliant alternative for Canadian crypto users.

With the Exit of Global Players

As exchanges like Gemini and Binance leave the market, Canadian users are left searching for secure and reliable platforms. Netcoins fills this gap by offering a fully compliant, Canadian-based option that users can trust.

Why Canadians Should Consider Netcoins

Netcoins is specifically designed for Canadian users. Its compliance with local regulations ensures that users have access to a range of crypto assets without worrying about platform instability or sudden market exits.

Additionally, Netcoins offers staking and trading options that allow users to grow their assets while staying within the bounds of Canadian law.

Future-Proofed Against Regulatory Changes

Netcoins’ commitment to compliance ensures that it is better equipped to handle any future changes in Canada’s regulatory landscape. By adhering to CSA guidelines and maintaining transparent operations, Netcoins provides long-term stability for its users.

9. Navigating the Canadian Crypto Space Moving Forward

As Canada’s regulatory landscape continues to evolve, it’s essential for users to choose a platform that can adapt to these changes. The risks of using unregulated platforms or those that struggle with compliance are simply too great.

The Changing Landscape

Canada’s regulations will continue to evolve, and users need to be aware of how these changes may impact their investments. By choosing a compliant platform like Netcoins, users can ensure that they are protected as the market grows and matures.

The Risks of Using Unregulated Platforms

Using an unregulated or non-compliant platform exposes users to significant risks, including the potential loss of funds due to insolvency or fraud. Netcoins’ commitment to compliance reduces these risks, offering users a secure and reliable platform for their crypto investments.

Netcoins’ Commitment

Netcoins is dedicated to growing alongside the Canadian crypto market. By maintaining full compliance with CSA regulations and offering transparent, reliable services, Netcoins is positioned to be a leader in the Canadian crypto space for years to come.

Summary

As Canada’s crypto market continues to evolve, the importance of choosing a regulated and Canadian-based exchange cannot be overstated. Recent exits by major international players have highlighted the challenges of operating in this space, but they have also underscored the need for compliant platforms that can offer stability and security.

Netcoins, with over a decade of experience, has proven itself to be a trusted alternative for Canadian users. Its commitment to compliance, security, and transparency makes it the ideal choice for anyone looking to invest in the future of cryptocurrency.

Trust, stability, and compliance are the pillars that will sustain the crypto market in Canada—and Netcoins embodies all three.

Disclaimer

The information provided in the blog posts on this platform is for educational purposes only. It is not intended to be financial advice or a recommendation to buy, sell, or hold any cryptocurrency. Always do your own research and consult with a professional financial advisor before making any investment decisions.

Cryptocurrency investments carry a high degree of risk, including the risk of total loss. The blog posts on this platform are not investment advice and do not guarantee any returns. Any action you take based on the information on our platform is strictly at your own risk.

The content of our blog posts reflects the authors’ opinions based on their personal experiences and research. However, the rapidly changing and volatile nature of the cryptocurrency market means that the information and opinions presented may quickly become outdated or irrelevant. Always verify the current state of the market before making any decisions.